HACKETTSTOWN – Town Council adopted a 2012 municipal budget last night that calls for an overall tax rate increase of 1.7 cents.

The average residential assessment is $283,808, which equals a $48 increase on average for residents this year. Last year’s tax rate increase was 3.9 cents, translating to a $110 increase for residents, according to Mayor Maria DiGiovanni.

“We understand that the economy has not come back to where we want it to, but we worked very hard to keep your taxes level without sacrificing services in town, DiGiovanni said at the April 12 meeting.

The total budget is $9,920,000, an increase of about $61,000 over last year. The debt will be paid down by $1,215,000 this year and the tax increase comes in at $60,000 under the allowable 2% levy cap, DiGiovanni said.

About $205,000 from the capital improvement fund will go toward paving three roads: a small section of Vail Street, East Valley View Avenue and East Prospect Street, said DiGiovanni.

There will also be infrastructure improvement to the roof in the Municipal Building, which has been leaking; an alteration made to the locker room at the Police Department, which is open and a “safety issue,” and a historic building in town will be painted, at a total cost of approximately $62,000, DiGiovanni said.

DiGiovanni attributed the primary reason for the tax rate increase to a reduction in ratables.

Town Council voted 4-1 in favor of the budget, with Councilman Scott Sheldon dissenting.
Sheldon said he was disappointed that more of the town’s grant money wouldn’t be used toward infrastructure. “Next year we’re doing East Prospect Street and the other streets are just going to get ignored again for another year,” Sheldon said.